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MODERN MINING
July 2017
MINING News
ASX-listed Syrah Resources, which is
developing the Balama graphite project in
northern Mozambique, reports that over-
all construction progress completion was
90 % as at 30 June 2017. Processing plant
commissioning activities commenced in
May and continue as planned, including
energisation of the primary crusher sub-
station, and completion of function testing
for some material handling equipment.
The majority of supporting infrastruc-
ture for the plant site is complete, aside
from the water pipeline which is well
advanced. The main pipeline corridor has
been cleared and trenched (13,5 km) and
welding of the pipeline has begun.
Operational readiness for production
ramp up is also progressing well, says
Syrah, with most of the key operational
management, supervision and personnel
having been recruited and initial mine
development complete with stockpiling
of mineralised ore onto the ROM stock-
pile, ready for production. The laboratory
has been fully fitted out with state-of-the-
art equipment and is fully functional with
Bureau Veritas technical personnel already
mobilised to site. The laboratory is being
used in advance of production to train
personnel in processing and performing
ore characterisation work.
The project remains on schedule for
first production in August 2017 and the
project capital cost is US$193 million (plus
a project contingency of US$7 million).
Syrah says that the Mozambique
Minister for Mineral Resources and
Energy, Leticia Klemens, undertook a very
detailed visit to the Balama operation on
June 26. The visit focused on health and
safety, environmental compliance, the
Balama graphite project in the finishing straight
Looking south over the Balama site. This photo is fromMay this year (photo: Syrah Resources).
mine, processing plant and infrastructure,
the training and development systems
in place, and the high proportion of
Mozambican national employees, particu-
larly from the local communities.
The strong commitment Syrah has
already shown towards social responsibil-
ity in advance of production was noted,
and the Minister subsequently requested
that the company share the established
standards and processes with other
resources projects in Cabo Delgado prov-
ince and nationally.
The project has reserves of 114,5 Mt
at 16,6 % Total Graphitic Content (TGC)
(18,6 Mt contained graphite) and resources
of 1 191 Mt at 11,0 %TGC (128,5 Mt of con-
tained graphite), sufficient for a life of mine
of almost 60 years.
Balama will be a simple open-pit
operation with a low strip ratio. It will
employ a processing route consisting of
conventional processes including crush-
ing, grinding, flotation, filtration, drying,
screening and bagging. The plant will
produce a 95 % to >98 % TGC concentrate
across a range of flake sizes.
The processing rate is 2 Mt/a with the
nameplate capacity of the plant being
380 000 t/a of graphite concentrate. It
is envisaged that the operation will ini-
tially achieve a C1 production cash cost
of less than US$400 per tonne in the first
12 months, with this later reducing to less
than US$300 per tonne.
The flotation section of the Balama plant under construction (photo: Syrah Resources).